Tuesday, June 22, 2010

Scandic Food India Pvt Ltd to take Sil brand to 800 cities this year


Bangalore: Scandic Food India Private Limited is looking to rejuvenate the Sil brand by increasing its presence to 800 cities in this fiscal from the present 250. The Pune – based company bought the Sil brand from Marico Industries two years ago.

“The company is now taking to contract farming to steady the supply of fresh fruits and commodities like chilli, Tomatoes and other ingredients for its jams and ketchups. Scandic was looking to have a pan India presence during this fiscal for its juices, ketchups, jam and others. It will set up regional manufacturing plants in the agrarian belts. India will be the manufacturing hub for Southeast Asian countries and west Asia, “ said Ravi Chandra, National Head – Sales and Marketing, Scandic Food India Pvt Ltd..

The company recently launched a vegetarian mayonnaise to increase its product offering. It will now introduce a premium jam, which will be low on sugar, add a few variants of the existing products in three to four months apart from creating some new categories. Scandic has been setting up its own distribution channels for the past one year. The company recently launched fruit juices in five variants — apple, mango, pineapple and mixed fruit. It has recently launched two variants of tomato ketchup called Fun-mato and Hotmato.

Chandra said, “Scandic were increasing the efficiency and productivity at its Pune plant. The present capacity is about 2000 and 3000 tonne a month, varying with the product. Post upgradation, which will be complete this fiscal, the production capacity will double to 4000-6000 tonne a month. The company has already invested about Rs. 7 crore for improving the plant.”


The Sil brand will continue. Scandic plans to put in about 17 per cent of its revenues in promotional activities. Currently we are spending 8-10 crs with Carat Media to take the brand to the consumers. The jam and ketchup segments are estimated to be Rs. 140 crore and Rs. 400 crore respectively. There is scope for growth as the jam and ketchup markets are under penetrated, asserted Mr. Chandra.

Scandic Food India Private Limited

Good Food Group A/S acquired the SIL brand from the Indian company Marico Ltd. in March 2008, and subsequently the company Scandic Food India Private Limited was established, domiciled near Pune.

Under the SIL brand, Scandic Food India Private Limited sells its processed food products, comprising jams (mixed fruit), specialities (baked beans in tomato sauce, sweet corn cream soup), and sauces (soya sauce, green chilli sauce, red chilli sauce, mayonnaise).

The jam market is controlled by two national brands, and SIL has managed to hold its position for quite a long time, increasing its market share from 8 to 12% over the past few years.
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